US Stocks Slip on Earnings, Jobs Data 08/04 09:38
Stocks fell on Wall Street in morning trading on Wednesday as investors
weighed another batch of corporate earnings and economic data that could shed
more light on how the economic recovery is going.
(AP) -- Stocks fell on Wall Street in morning trading on Wednesday as
investors weighed another batch of corporate earnings and economic data that
could shed more light on how the economic recovery is going.
The S&P 500 index fell 0.2% as of 10:14 a.m. Eastern. The Dow Jones
Industrial Average fell 135 points, or 0.4%, to 34,890 and the Nasdaq rose less
Crude oil prices fell more than 3% and pushed energy companies lower.
Retailers, hotels and other companies that rely on direct consumer spending
The yield on the 10-year rose to 1.18% from 1.17% late Wednesday.
Payroll processor ADP revealed a disappointing snapshot of the nation's
employment recovery, adding to concerns about the lagging recovery in the jobs
market. ADP said the private sector added 330,000 jobs in July, falling far
short of economists' expectations. The report comes ahead of the Labor
Department's more comprehensive July jobs report on Friday.
The resurgence of COVID-19 with the highly contagious delta variant in spots
around the world is also a key concern for Wall Street. China's worst outbreak
since the start of the pandemic a year and a half ago escalated Wednesday with
dozens more cases around the country and the sealing-off of one city.
Investors are also still in the thick of corporate earnings season. The
results have been solid so far. Roughly 75% of companies in the S&P 500 have
turned in their earnings and the majority have been surprisingly good.
Strong profit and revenue results weren't enough to lift stocks for many
companies on Wednesday, however. General Motors fell 7.5% despite overcoming an
industry-wide chip shortage to beat analysts' profit expectations and raise its
forecast. CVS Health slipped 1.9% after also reporting solid results.
Ticket seller and concert promoter Live Nation rose 3.9% after reporting
surprisingly mild second-quarter loss.
Online broker Robinhood surged 31%.